Modifications to the Labor Code in Chile

Law 21,327, published on April 30, 2021, and which entered into force as of October 1, 2021, introduces a series of modifications to the Labor Code, including new obligations for employers. In addition, it establishes rules to modernize the functioning of the Labor Directorate (DT). Among the modifications introduced by this law are, among others, the following:

Modifications to the Labor Code.

  • Electronic registration of employment contracts and their termination on the DT website.

The new article 9 bis establishes the obligation of the employer to register the employment contracts of its workers on the DT website, within a period of 15 days from the conclusion of the contract. < / p>

Along with the above, the employer must register the terminations of employment contracts within the deadlines established by the Labor Code (articles 162 and 163 bis) for sending copies of communications termination of the contract to the Labor Inspectorate, according to the corresponding cause. When the termination is by mutual agreement of the parties, resignation or death of the worker, the registration of the termination of the contract must be made within 10 business days following the separation of the worker.

Regarding employment contracts that have been entered into before October 1, 2021, the employer must register them within one year from the publication of this law (April 30, 2021).

  • Mentions of the employment contract.

The indication of the e-mail of the contracting parties (employer and worker) is incorporated as a mandatory mention of the employment contract.

  • Payment of remuneration.

The electronic transfer is expressly recognized as a means of payment of remuneration.

  • Mediation .

The concept of “labor mediation” is defined in the context of collective bargaining and it is established that the Labor Directorate may automatically summon the parties to voluntary mediation.

The concept of “labor mediation” that is established is as follows: “Labor mediation will be understood as the conflict resolution system in which an impartial third party called a mediator, without decision-making power, collaborates with the parties, and facilitates the search, by themselves, of a solution to the conflict and its effects, through agreements. "

  • Public consultation system for monitoring compliance with labor legislation and its interpretation.

The DT is granted the power to provide public consultation on the instructions, pronouncements and other general rules that it dictates for the interpretation and application of labor laws, which allows interested parties to express their opinion and formulate proposals through electronic means.

  • Modification of penalties for violations of the Labor Code and its complementary laws.

A new section is incorporated, with fines between 1 and 5 UTM for micro companies.

  • Establishes that DT notifications, citations and communications will preferably be made by email.

For these purposes, each employer, worker, or any other person or entity that is related to the Labor Directorate, must register an email or other digital means defined by law.

  • Creation of an electronic record of employment records.

An electronic registry is created in which employers must register the data and labor documentation that will be defined in a regulation to be issued by the Ministry of Labor. The DT will be able to access all the mandatory labor and social security documentation of the employer that is incorporated into this registry. For these purposes, all employers must register an email in the DT's electronic system. However, employers who do not have electronic means, do not have access to them or only act exceptionally through such means, may request the DT that the communication and relationship with them be carried out in a different way.

Rules relating to the internal functioning of the DT.

The law establishes new norms on the internal functioning of the Labor Directorate, in matters such as public competitions, assignments and others. In addition, the Unit of Atentry to Micro, Small and Medium Enterprises.

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